The Glass Room at the Tecumseh Community Center, 703 E. Chicago Blvd., will have a full-time renter starting Jan. 1, 2014.

On a 5-1 vote Monday, the Tecumseh City Council authorized city manager Kevin Welch and city attorney Scott Baker to work out a two-year lease agreement with Toledo-based health care system ProMedica to allow the organization to host exercise classes in the Glass Room. Council member Pat Housekeeper was absent, and Troy Wright was lone no vote.

“I think we should wait two months so we can make a more informed decision,” Wright said.

Welch told the council ProMedica, which operates the Fitness Connection in the community center’s basement, has tentatively agreed to a lease rate of $15,000 per year for the Glass Room in addition to the $24,000 for the Fitness Connection. The proposal needs approval from the city council.

“The Fitness Connection uses the bottom floor under the Glass Room under the new lease they signed last fall,” Welch said. “However, they need a little more room for their exercise programs. ProMedica approached the city asking for dedicated space.”

The Tecumseh Senior Center rents the main room and the former parks and recreation offices, and Tecumseh Paddling Co. is now operating in the lower section on the east end of the building. The company rents kayaks, canoes and paddleboats.

Welch said the rental income the city receives is about $50,000 per year and more than covers the monthly expense of operating the building. The city has also been approached by a person interested in buying the building, with the intent of using the main floor for a wine-tasting room and other related business.

Councilman Jack Baker said he favors the lease with ProMedica because it would be a steady income for the city.

“They have a proven track record,” he said.

Currently, the city rents out the Glass Room for private parties and other events and will honor the current rentals through the end of the year. The new arrangement will begin Jan. 1 and expire at the end of 2015.

“The Glass Room seems to be the most attractive part of the building,” Welch said.

The city is still responsible for upkeep of the building, but the day-to-day operations and maintenance would be the responsibility of the renters, Welch said. He added that the person inquiring about the sale of the building said he would be willing to wait until the lease agreements expire.

A second party also recently contacted the city about buying the building with the idea of operating a restaurant in the Glass Room, using the main portion for a banquet facility and possibly coordinating space with ProMedica and the Department on Aging. However, no rates or purchase prices were discussed.

Page 2 of 2 - Mayor Dick Johnson said he was under the impression the building was no longer on the market. In November, a committee researching a request for proposals (RFP) recommended renewing the current leases due to the lack of concrete alternatives. The leases included rent increases.

In 2011, the committee, consisting of Welch, Johnson, city economic development director Paula Holtz and director of cultural and leisure services Shelley Lim, reviewed proposals for either use or sale of the building and recommended renewing the leases. Johnson and Welch said the city would have to go through another RFP if a change is desired.

“Both potential buyers said if the building was still available in two years, they would be interested,” Welch said. “We would still have to go through the process.”

The parks and recreation department moved to the new AJ Smith Recreation Center at 810 N. Evans St. in January. Tecumseh Paddling began operating in June.